HomeMy WebLinkAboutAgenda Statement 1979/06/26 Item 17 ACITY OF CHULA VISTA
COUNCIL AGENDA STATEMENT
Item No. " 17-A
For meeting of 6-26-79
ITEM TITLE
SUBMITTED BY
ITEM EXPLANATION
contingency fund and
(4/5TH'S VOTE REQUIRED YES NO )
As Council is aware, the "Spirit of 13" Gann initiative has qualified for placement
on the June 6, 1980, ballot. The preliminary analysis of this initiative indicates
that there will be as much, if not more, confusion and chaos brought about by the
provisions contained therein as there was with Proposition 13. Of major significance
is the fact that the City's expenditure program for FY 1978-79 will be the basis for
all future City budgets. There is again the problem of the definition of terms and
the interpretation of them. The Council is also aware that the general fund "reserve"
is a reserve only until June 30. On July i, this reserve is necessary for the opera-
tion of the City because revenues do not meet the City's obligations for the first
4~months of the fiscal year. In order to accommodate this obligation and other in-
consistencies of the definitions of the Gann initiative, we are proposing that a new
account, titled "operations contingency fund", be created and that $2,978,000 be
transferred into this account.
The above amount not only includes the general-fund estimated balance on June 30, 1979,
but also other funds which have general use applications such as sewer income, park
land acquisition, residential construction tax and special capital outlay. While
the above action may seem like manipulation to subvert the intent of the initiative,
it is not. Rather, it is adjusting our accounting system to the initiative's defini-
tions as we interpret them. It is proposed to transfer these funds out of the
operations contingency fund back to the individual categories from which they came
on July 3, 1979, in order to provide for funding and efficient operation of the City.
tXNlt~115
Agreement Resolution Ordinance Plat Notification List
Other ENVIRONMENTAL DOCUMENT: Attached Submitted on
FINANCIAL IMPACT
FROM: 1) General Fund
2) Park Land Acquisition & Development Fund
3) Residential/Construction Tax Fund
4) Sewer Income Fund
5) Special Capital Outlay Fund
STAFF RECOMMENDATION
Adopt resolution.
BOARD/COMMISSION RECOMMENDATION
COUNCIL ACTION
~by~
Resolution ~G,~3 ~ Establishing an operations
appropriating funds thereto
City Manager C L~~'
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$2,000,000
426,000
262,000
152,000
138,000 .
2,978,000 G~~G~
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